Recession fear among fund managers hits post-crisis high

Equity allocations have been reduced while bond holdings are at a record low, finds BAML's monthly survey

By

Clare Dickinson

February 13, 2018 Updated: February 14, 2018 10:59 a.m. GMT

More fund managers think the global economy is about to tip into recession than at an time since the start of 2008, according to Bank of America Merrill Lynch's monthly industry poll.

Of those investors who responded to the survey, 70% think the global economy is in "late cycle" — meaning it is heading for a downturn. That is the highest level since January 2008, a few months before the peak of the financial crisis.